Don’t spend money on technology is the advice for accountancy firms if they
want to survive the economic downturn, according to computer support company
Ulysses, which specialises in IT support for accountants, has made its
recommendation to firms citing that they should not spend money on new
technology to improve their chances of surviving the credit crunch.
This is a notion supported by the ICAEW business confidence monitor which
shows that confidence in the IT sector has hit a record low of minus 18.2
Pete Turner, technical director for Ulysses, said: ‘This is not the time to
be spending capital on new computers unless they are absolutely needed as
‘We normally recommend clients invest in IT infrastructure in the good times,
so they can reduce costs at times like these. Accountants should save their
money until the economy picks up again’ he added.
Turner gives out three golden rules for accountants to ride out the downturn
which include; not replacing computing that work and instead improving broadband
and servers; replace old phone systems with internet phones which have more
flexibility; and get IT support on a pay as you go basis.
Tim Newing, IT director at EasyJet said: ‘Instead of concentrating on
business growth and innovation, we are now turning our heads to efficiencies and
cost cutting. We are in the process of devising our budgeting for next year and
IT plans have changed in line with the new business strategy.’
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